HomeMy WebLinkAbout0994
f ' 1 '
ADJUSTABLE RATE RIDER ~
. (1 1'ear T~easurv tndex-Rate Caps 1
. i ?
THIS ADJI:STABLE RATE RIDER is madc this 3~ day of Jan~Y , 19 86 , and is ~
incorporated into•and shall be deemed to amend and supplement the Murtgs~c. Deed of T~wt or Security Deed (the
"Securit~• instrument"} of the samc date gi~•en by~ the undersigned (the "Burrower") tu secure Surruwer's Adjustable
Rate ti~te (the "\ote") to SUN BANK OF ST. LUCIE CUUNTY
(the "Lender") of the same d~te and covering the property describcd in j
the Securit~ Instrument and located at:
8402 Eden Road, Ft. Pierce, FL 33451
(Pro{trty .1ddr.~:~
THE NOTE CONTAINS PROViSiONS ALLOWING FOR CHANGES IN THE {NTEREST RATE
AND THE MONTHLY PAYMENT. THE NOTE LIMiTS THE AMOUNT THE BORROWER'S
iNTEREST RATE CAN CMANGE AT ANY ONE TIME ANO THE MAXiMUM RATE THE BOR-
ROWER MUST PAY.
AUOfT10\.~L CO~~E\.4\T4. (n addition to the covenants and agreements made in the Serurit~ lnstrument, Borrower
and Lender further covenant and agree as follows:
A. [;\TEREST RATE AND 110NTHLY PAYtitENT CNANGES
The Note provides for a~ initial interest rate of g, 875 ~J~. The 1~iote provides for changes in the imerest rate and tht
monthly payments, as foliows: ~
4. INTERFST RATE AND MOhTHLY PAt'MENT CHANGES
1 A 1 Change Dates
The interest rate I w•i11 pa}• may change on the first day uf FebruaLy , 19 87, and on that day
every 12th month thereafter. Each date on which my interest rate could change is called a"ehange Date."
1 B 1 The Index
$eginning with the first Change Date, my interest rate will be based on an tndex. The "Index" is the weekly average
yield on United States Treasury securities adjusted to a constant maturity of I yea~, as made av~ilabie by the Federal
Reserve Board. The most recent Index figure available as of the date 4S days before each Change Date is calied ~he
"Current Index."
!f the Index is no longer available, the Note Holder will choose a new index which is based upon comparable
information. The Note Holder wili give me notice of this choice.
1 C! Calculation ot Changes ~
Be~ore each Change Date, the Note Holder will calculate my new interest rate by adding ~'wo and three- '
quarters percentage points ( 2. 75 to the Current Index. The Note Holder will then round the
result of this addition to the nearest one-eighth of one percentage point (0. ! 25`~ Subject to the limits staled in Section
A(D) below, this rounded amount wi11 be my new interest rate until the next Change Date.
The Note Holder witl then determine the amount oi the monthly payment that would be suflicient to repay the
unpaid principal that 1 am expected to owe at the Change Date in tull on the maturity date at m~~ new interest rate in
substantially equal payments. The result of this calculation will be the new amount of my monthly payment.
( D 1 l.imits an [nterest Rate Changes
;
The interest rate I am required to pay at the first Change Date witl not be greater than IO . 8 7 5°10 or less than '
6. 8 7 5 Thereafter, my interest rate will never be increased or decreased on any single Change Date by more
than two percentage points (2.0%) from the rate of interest ! have been paying for the preceding twelve months. My
interest rate will never be greater than 13 . 875 °lo. i
( E i EBective Date of Changes
My new interest rate wiil become eH'ective on each Change Date. 1 wil) pay the amount of my new monthly payment
beginning on the first monthly payment date after the Change Date until the amount of my monthly payment changes
again.
1 F t Notice of Ch~nges
The tiote Holder will deliver or mail to me a notice of any changes in my interest rate and the amount of my monthly
pa} ment before the effective date of any change. The notice wi11 include information required by law to be given me and
also the title and telephone number of a person who wi11 answer any question I may have regarding the no?ice.
B. TRAtiSFER OF THE PROPERTY OR A BENEFICIAL INTEREST !N BORROWER
Uniform Covenant 17 of the Security Instrument is amcnded to read as follows:
Tr~nsfer of the Property or A Beneficial [nterest in Borrower. !f all or any part of ihe Property or any interest in it is
soid or transferred (or if a beneficial irtterest in Borrower is sold or transferred and Borrower is not a natural person)
without ~.ender's prior written consent, Lender may, at its option, require immediate payment in full of all sums secured
b} this Security Instrument. However, this option shall not be exercised by Lender if ezercise is prohibited by federal law
as of the date of this Security Instrument. Lender also shall not exercise this option if: (a) Borrower causes to be
submitted to Lender information :equired by Lender to evaluate the intended transferee as if a new loan were being made
to the transferee; and (b) Lender reasonably determines that Lender's security will not be impaired by the loan
assumption and that the risk of a breach oi any covenant or agreement in this ~ecurity (nstrument is accepiable to
Lender.
~
To the extent permitted b}~ applicable law, Lender may charge a reasonable fee as a condition to Lertder's conseni to
the loan assumption. Lender may also require the transferee to sign an assumption agree~nent that is acceplable to
Lender and that obligates the transferee to keep all the pro~nises and agreements made in the Note and in this Security
Instrument. 8orrow~er will continue to be obligated under the tiote and this Sccurity Instrument unless Lender releases
8orrower in writing.
NWLTISTATE ADJUSTABIE RATE RWER-ARN S-2-Sincie Family-FinnN Maa Wwfarm It~rNrtt Form 311t t185
Fin~nci~l l~w Fwms" Q~Or ~f~ PAGE ~7
FOtm 1CT3a v 11